Investments Lag Behind, Straining the U.S.–South Korea Security Alliance
President Trump is signaling a major scaling back of joint U.S.–South Korea military exercises amid frustration over Seoul’s pace in delivering a $350 billion investment pledge tied to a trade deal, and broader irritation with tariffs and Iran policy. Officials say only about $150 billion has been earmarked for projects like shipbuilding, with the remaining $200 billion still unsettled, and negotiations described by insiders as painfully slow. The friction comes as North Korea conducts missile tests and Washington contemplates troop redeployments, underscoring how economic leverage is spilling into security policy. Seoul is reportedly weighing new pledges in late summer or early fall, but no concrete projects have been announced yet; a 2029 deadline looms for the investment deal.
